Zelda Company Has Provided the Following Values for Its 400

question 44

Multiple Choice

Zelda Company has provided the following values for its 400 units of inventory at the end of 2010: $\begin{array}{ll}\text { Item } & \text { Per Unit } \\\text { Historical cost } & \$ 5.00 \\\text { Replacement cost } & \$ 4.20 \\\text { Net realizable value } & \$ 4.50 \\\text { Normal profit margin } & \$ .80\end{array}$ Under IFRS requirements, the per-unit reported value for Zelda's inventory will be

• A)$5.00
• B)$4.50
• C)$4.20
• D)$3.70

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Definitions:

Flood Victims

Flood victims are individuals or communities adversely affected by floodwaters, leading to loss of property, livelihood, and sometimes life.

Negatively Correlated

A relationship between two variables in which one variable increases as the other decreases.

Opposite Directions

A phrase indicating a situation where two or more elements or forces move or act in contrasting or conflicting paths.

Negative Correlation

A connection between two variables where as one variable rises, the other falls.